GAIL Gas in CNG row

Vol 13, PW 26 (17 Jun 10) News in Brief

GAIL Gas has postponed plans to set up CNG stations on highways that fall outside the boundaries of Sonepat, Dewas, Meerut and Kota.

PETROWATCH learns this follows a stern warning by Petroleum and Natural Gas Regulatory Board secretary Ratan Watal who told GAIL’s gas retail subsidiary on May 14 to stick within the city limits, where it has authorisation. Watal was alerted by newspaper advertisements in which GAIL Gas was seeking land for proposed CNG stations on the highways near the towns of Meerut, Sonepat, Firozabad, and Mathura in Uttar Pradesh; Dewas and Banmore in Madhya Pradesh; and Kota in Rajasthan.

“We will meet with the gas regulator and clear up this misunderstanding,” clarifies a senior GAIL Gas source. Another company source adds GAIL Gas will respect the regulator’s views to avoid dispute.

GAIL Gas tells us work is progressing well on setting up piped gas networks and CNG stations within the Sonepat, Dewas, Meerut and Kota city boundaries.